DUBLIN, Ireland: Ireland's Housing Minister James Browne has announced what he called a Government "war on dereliction," introducing a new Derelict Property Tax designed to crack down on long-abandoned and vacant sites across the country.

The measure, operated by the Revenue Commissioners, was unveiled as part of Budget 2026 and will replace the existing Derelict Sites Levy.

The tax, which will come into effect after new legislation is introduced next year, is expected to be set at a rate of no less than seven percent of a site's market value — matching or potentially exceeding the current levy. Property owners who fail to pay the tax will be listed on the Revenue's register of tax defaulters.

Minister of State John Cummins said the move marks a decisive shift from the Government's previous "carrot" approach — which relied on voluntary schemes and grants — to a more forceful "stick" approach. "That was the carrot. We're now coming with a stick," Cummins said. "It's unacceptable for there to be vacant and derelict properties in this country. We are serious about tackling it."

Browne said the extent of dereliction across Ireland remains difficult to quantify, but its effects are visible in towns and cities nationwide. "My view is that dereliction is anti-social behaviour. It damages our society in many different ways," he said on October 7. "It's totally unacceptable that we have properties in towns and cities — with water, electricity, and street lighting paid for by taxpayers — simply left to rot."

He acknowledged that some cases of dereliction arise from personal circumstances, but argued that many owners deliberately allow properties to deteriorate while waiting for their value to rise. "We can all see it as we walk down the streets, even in Dublin city centre, in every provincial town. People are desperate for those properties," Browne said.

The minister said the new tax aims to pressure owners into action. "We want people to feel so uncomfortable that they release those properties to individuals or developers who will use them," he said, warning that "the rate certainly won't be less than seven percent, and if it needs to increase, that will be for the finance minister to decide."

Cummins confirmed that local authorities will play a role in identifying derelict properties before the tax is applied. "Use the carrot — the supports available to bring properties back into use," he said. "If you don't, the stick is coming."

Browne added that the Government's new housing plan will be presented to the Cabinet's housing committee within the next week and finalized within three weeks.